The Athabasca oil sands contain the second largest oil deposit in the world. The new in-situ extraction process known as Steam Assisted Gravity Drainage (SAGD) utilizes drilling rigs to install SAGD well bores into the oil sands reservoir. The drilling process produces drilled sand which is classified as a waste that contains a hydrocarbon concentration of up to 18% by weight. The drilling of one well pair generates approximately 500 tonnes of drilled sand. Current disposal methods will place an enormous strain on the Class II landfill systems, transportation corridors and social infrastructure. The goal of this research was to determine the most sustainable treatment option for the management of drilled sand in terms of social, economic, and environmental considerations. The results indicate that bitumen can be recovered from drilled sand and the drilled sand can also be used as a base material for cold mix asphalt.